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Home » Improved Cargo in International Air Transport Association's Forecast

Improved Cargo in International Air Transport Association's Forecast

March 27, 2013
Air Cargo World

The organization announced a modest improvement in its forecast for the 2013 financial performance of the global airline industry. Stronger revenues, including those from cargo, are the main reason for the improved outlook.

IATA expects airlines to produce a combined net post-tax profit margin of 1.6 percent with a net post-tax profit of $10.6bn. Both these figures are higher than previous projections.

"Industry profits are taking a small step in the right direction," Tony Tyler, IATA's director general and CEO, said. "Against a backdrop of improved optimism for global economic prospects, passenger demand has been strong and cargo markets are starting to grow again. The economic optimism is also pushing fuel prices higher. We are seeing a $12bn improvement in revenue, and a $9bn to10bn increase in costs - most of which is related to fuel."

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KEYWORDS Air Cargo Global Logistics Logistics Logistics Outsourcing manufacturing processes non-value-added activities in manufacturing supply chain Supply Chain Management Transportation & Distribution Value chain
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